{"id":10237,"date":"2026-01-07T17:55:22","date_gmt":"2026-01-07T17:55:22","guid":{"rendered":"https:\/\/microvibenews.com\/?p=10237"},"modified":"2026-01-07T17:55:22","modified_gmt":"2026-01-07T17:55:22","slug":"jamie-dimons-bombshell-on-proxy-advisory-delivers-a-body-blow-to-the-firms-he-called-incompetent","status":"publish","type":"post","link":"https:\/\/microvibenews.com\/?p=10237","title":{"rendered":"Jamie Dimon\u2019s bombshell on proxy advisory delivers a body blow to the firms he called \u2018incompetent\u2019"},"content":{"rendered":"

<\/p>\n

In a break that shapes the architecture of shareholder power, JPMorgan Asset Management, which manages more than $7 trillion in client assets \u2014 severed all ties this week with proxy advisory giants ISS and Glass Lewis. <\/p>\n

It will now rely solely on an internal, AI-driven voting platform called Proxy IQ \u2014 the first such move by a major asset manager.<\/p>\n

It comes days after President Trump issued an executive order directing federal agencies to investigate proxy advisers, citing concerns that their influence on board votes, CEO pay, and ESG policies is driven more by political agendas than fiduciary duty.<\/p>\n

Together, Trump and JPMorgan waged a two-front assault on the proxy advisory industry \u2014 one political, one financial. Trump\u2019s order adds regulatory firepower. Dimon\u2019s decision delivers a market blow.<\/p>\n

JPMorgan CEO Jamie Dimon, relentless critic of proxy advisers, called these firms \u201cincompetent\u201d and their dominance \u201cdone with.\u201d  The bank\u2019s full exit marks a direct challenge to a system many view as opaque and obsolete.<\/p>\n

Yet in dismantling the old gatekeepers, JPMorgan may be quietly installing itself as a new one.<\/p>\n

By replacing outside advisers with its own AI platform, it now controls the very machinery of shareholder voting it once condemned. What began as a crusade against centralized influence may be remembered as a corporate land grab.<\/p>\n

These developments underscore the rise of a more decentralized and digitally engaged electorate \u2014 part of a broader shift toward democratization of investing, as individuals gain real-time access to ballots and influence decisions once shaped by a handful of power brokers.<\/p>\n

This spring\u2019s proxy season may not hinge on an activist\u2019s letter, banker spreadsheets or hedge fund media blitzes \u2026 but instead on the quick, quiet clicks of individual investors \u2014 each with a few hundred shares \u2014 voting between Zoom calls and scrolling through message board threads.<\/p>\n

When digital swarms reshape the roadshow<\/strong><\/h2>\n

In March 2025, ExxonMobil moved to elevate individual investors \u2014 still shaped by its 2021 clash with Engine No. 1 \u2014 even without adopting default proxy instructions.\u00a0<\/p>\n

In September, the Securities and Exchange Commission (SEC) approved a program that lets individual stakeholders automatically follow board recommendations, aiming to counter chronically low voting turnout and disproportionate influence of institutional and activist investors.<\/p>\n

And Exxon isn\u2019t alone. Small investors blocked a share conversion at AMC in August 2023, triggering a lawsuit and court-approved settlement. The conversion and split took effect, revealing the persistence of a shareholder base once hailed as the company\u2019s savior.<\/p>\n

At Disney in April 2024, Nelson Peltz\u2019s proxy fight culminated in a vote that drew support from fans-turned-shareholders mobilizing around board accountability and creative direction. While Peltz lost, Disney revamped investor engagement.<\/p>\n

Main Street investors rallied behind Elon Musk\u2019s billion-dollar pay package at Tesla in June 2024 and again in October 2025, circulating voting instructions and videos across social media. This outreach momentum carried into the subsequent vote. <\/p>\n

These episodes point to a shift, not a revolt\u00a0<\/strong><\/h2>\n

One important new mechanism drawing attention is pass-through proxy voting \u2014 allowing mutual fund and ETF investors to vote their shares directly instead of delegating authority to fund managers. It gives individuals direct control over votes attached to their assets.<\/p>\n

But it still only matters if they vote. Many independent shareholders skip proxy voting, as notices go unread. Engagement usually emerges in a contested election, as investors hold their ballots to see how the fight unfolds.<\/p>\n

As of March 2024, BlackRock expanded its Voting Choice program to U.S. individual investors in select funds, enabling direct proxy voting. This marked the first major rollout of pass-through voting within fund structures.<\/p>\n

Still, only 8% of BlackRock funds offer it, but it is increasing pressure across the industry as analysis grows around individual investor inclusion.<\/p>\n

But Waiting for Godot<\/em> is a mistake. Regulation can tweak the system, but real change begins when investors are brought in early, understand the stakes, trust the process and choose to engage.<\/p>\n

Let the votes flow: Unlocking real shareholder influence<\/strong><\/h2>\n

Funds should \u2026 Implement full pass-through voting across all funds in 2026. <\/em><\/p>\n

BlackRock\u2019s Larry Fink, Vanguard\u2019s Salim Ramji, Fidelity\u2019s Abigail Johnson, State Street\u2019s Yie-Hsin Hung and J.P. Morgan\u2019s Jamie Dimon can set standards now. Every individual investor\u2019s capital carries its own vote.<\/p>\n

Boards in parallel should \u2026<\/p>\n

    \n
  • Make proxy voting as seamless as trading<\/em>. Investors can execute options in seconds but face treasure maps to cast a proxy vote; convenience drives turnout.<\/li>\n
  • Recognize voting isn\u2019t just procedural \u2014 it\u2019s reputational<\/em>.<\/em> Individual shareholders vote on brand trust. Opaque disclosures or footnote-heavy messaging erode confidence. Say clearly what you want and why.<\/li>\n
  • Clear instructions turn a ballot into a voice.<\/em> Not voting isn\u2019t neutral \u2014 it cedes your power to others who choose to engage.<\/strong> Every proxy should say plainly, in bold in all correspondence: \u201cWe encourage you to vote. If you don\u2019t, your silence increases power of those who do.\u201d<\/li>\n<\/ul>\n

    When proxy voting really begins<\/strong><\/h2>\n

    Influence doesn\u2019t begin with a proxy. It starts with a viral post that reframes a proposal in plain English, sharp YouTube explainer or social threads that turn legalese into a clear takeaway. This is where shareholder sentiment is formed and fortified.<\/p>\n

    As proxy season approaches, the same question looms: Do we have the votes? This year, outcomes may hinge on stakeholders who rarely join investor calls.<\/p>\n

    “Trust is like the air we breathe \u2014 when it\u2019s present, nobody really notices. But when it\u2019s absent, everybody notices.” \u2014 Warren Buffett<\/p>\n

    The opinions expressed in Fortune.com commentary pieces are solely the views of their authors and do not necessarily reflect the opinions and beliefs of <\/em>Fortune.<\/em><\/p>\n

    This story was originally featured on Fortune.com<\/p>\n

    #Jamie #Dimons #bombshell #proxy #advisory #delivers #body #blow #firms #called #incompetent<\/p>\n","protected":false},"excerpt":{"rendered":"

    In a break that shapes the arc… <\/p>\n","protected":false},"author":1,"featured_media":10238,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[2],"tags":[7412,7691,7075,7690,2514,1312,2640,7689,290,7692,875,2138,6393],"_links":{"self":[{"href":"https:\/\/microvibenews.com\/index.php?rest_route=\/wp\/v2\/posts\/10237"}],"collection":[{"href":"https:\/\/microvibenews.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/microvibenews.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/microvibenews.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/microvibenews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=10237"}],"version-history":[{"count":0,"href":"https:\/\/microvibenews.com\/index.php?rest_route=\/wp\/v2\/posts\/10237\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/microvibenews.com\/index.php?rest_route=\/wp\/v2\/media\/10238"}],"wp:attachment":[{"href":"https:\/\/microvibenews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=10237"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/microvibenews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=10237"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/microvibenews.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=10237"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}